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Overview of Public Expenditure Reviews

applesPublic expenditure is a critical ingredient for a country’s development. Public expenditure issues therefore touch on virtually every aspect of the World Bank’s work, often defining the relationship between macroeconomic and sectoral concerns. Public Expenditure Reviews (PERs) are core diagnostic studies prepared to help countries establish effective and transparent mechanisms to allocate and use available public resources in a way that promotes economic growth and helps reduce poverty.

The primary function of a PER is to assist a client country in reforming public expenditures. A good quality comprehensive macro PER is often a very useful document for a government in general, and the ministry of finance in particular. In many developing countries such a review is perhaps the only mechanism for a systematic (and often comprehensive) analysis of public sector issues.

As part of the World Bank’s country economic and sector work, PERs are undertaken to assist the Bank's borrowers to understand their development problems and potential solutions as well as help illuminate the World Bank’s own country assistance strategy. The quality of analysis undertaken in the PER is one of the major factors contributing to the success of the ensuing country lending program.


Tools for Conducting PERs

The analysis of public expenditure in agriculture is a broad concept that encompasses a number of tools and methods; one of them being the Public Expenditure Review (PER) as typically used by PREM analysts. Agriculture Public Expenditure Reviews (PERs) are a subset of PERs which are conducted by the PREM Public Sector Group. A general PER typically has a brief section on expenditure allocations made in specific sectors, including a highly aggregated agricultural sector.

Medium Term Expenditure Framework (MTEF) (Poverty Reduction Economic Management PREM)

What is a Good PER? The Substance

Guidelines for Public Expenditure Management (International Monetary Fund - IMF)

HD PERs Core Guidance Checklist

Public Expenditure Diagnostic Toolkit

Public Expenditure Management Handbook

A Contemporary Approach to Public Expenditure Management




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